Monday Market Recap (Dec 15, 2025)

Is the "AI Bubble" Bursting? How to navigate Tech Volatility with AI Options Advice

If you looked at your portfolio this Monday, December 15, 2025, you likely saw a sea of red—specifically if you are heavy in technology. The market narrative has shifted aggressively toward fears of an "AI bubble," dragging major indices lower.

But for the savvy options trader, volatility isn’t a signal to panic; it’s a signal to plan.

At Stonki, as an SEC Registered Investment Advisor, we believe in empowering you with data, not emotions. While we provide AI-powered investment advice and personalized trading plans, remember that Stonki offers non-discretionary advice. We analyze the chaos and send you the signals, but you stay in full control of your brokerage account to execute the trades.

Here is a breakdown of the current market landscape and how you can utilize AI options advice to turn this volatility into potential income.

Market Recap: The Tech Rotation Accelerates

Monday’s session was defined by a clear rotation out of high-flying tech names and into safer pockets of the market. Here is the data that matters:

• Indices: The SPY dipped -0.2% to 6,816, while the tech-heavy QQQ shed -0.6% to 23,057. Small caps (IWM) were hit hardest, down -0.8%.
• Safe Havens: Gold (GLD) caught a bid (+0.4%), acting as a classic hedge, while Bonds (TLT) remained flat with the 10Y yield holding at 4.18%.

Standout Movers & Shakers:

• Tech Weakness: AVGO fell another -6% (following Friday’s -11% drop), and ORCL is down ~17% over multiple sessions after a revenue miss. This confirms that Wall Street is punishing anything less than perfection in the AI sector.
• The Outliers: TSLA rallied +$17, bucking the trend, while biotech play KYTX surged +23% on Phase 2 data.
• The Ugly: IRBT (-73%) and LAZR (-61%) faced absolute carnage, reminding us why risk management guidance is essential.

Turning Volatility into Income: AI-Powered Options Recommendations

When stock prices fall, implied volatility often rises. This increases the premiums available for selling options for income. Instead of trying to catch a falling knife by buying shares outright, this environment is often ripe for theta decay strategies.

Here is how Stonki’s AI investment analysis helps you navigate this chop:

1. The Wheel Strategy on Beaten-Down Tech

If you believe the "AI bubble" narrative is overblown and want to acquire tech stocks at a discount, this is a prime setup for AI wheel strategy advice.

• The Concept: Instead of buying AVGO or ORCL at current prices, you might consider selling cash secured puts at a strike price below the current market value.
• The Goal: You collect premium immediately. If the stock stays above your strike, you keep the cash (income). If it drops below, you buy the stock at a discount—a price you were happy with anyway.
• How Stonki Helps: Our algorithms analyze options Greeks (specifically Delta and Theta) to recommend strike prices that balance income potential with your risk tolerance.

2. Risk Management with Defined Risk Strategies

With the S&P 500/Nasdaq-100 rebalance coming on December 22, volatility is expected to persist. If you are unsure of the direction, defined risk options strategies are your best friend.

• Vertical Spreads: Whether you are bearish on small caps (IWM) or bullish on a rebound, vertical spreads allow you to trade with a capped maximum loss.
• Iron Condors: For assets like TLT that are trading flat, an iron condor allows you to profit from the lack of movement by collecting premium from both sides of the market.

The Stonki Advantage: Non-Discretionary, AI-Driven

Navigating 0DTE options trading or complex options flow analysis can be overwhelming for beginners and even advanced traders. This is where Stonki bridges the gap between institutional-grade data and retail execution.

What Stonki Does:

• Creates Personalized Trading Plans: We assess your financial goals and risk tolerance to suggest a portfolio mix.
• Monitors and Alerts: Our AI options Greeks monitoring watches the market 24/7. If a covered call strategy opportunity arises because premiums have spiked, we send you a notification.
• Educates: We explain why a trade makes sense, helping you learn how to trade options with AI advice.

What Stonki Does NOT Do:

• We do NOT execute trades. You are the captain of your ship.
• We do NOT have access to your funds. Your money stays in your brokerage account.
• We do NOT offer discretionary management. We provide the map; you drive the car.

Looking Ahead: Jobs & Inflation

Markets are treading water ahead of the jobs report and inflation data later this week. These reports will shape the Fed's 2026 rate path.

If you are looking for the best AI investment advisor app 2025 to help you prepare, Stonki is ready to assist. Whether you are looking for weekly options income or long-term AI stock analysis, our platform provides the non-discretionary guidance you need to trade with confidence.

Ready to stop guessing and start planning? Sign up for Stonki today to get your personalized options trading plan and start receiving high-probability AI investment recommendations directly to your device.

Disclaimer: Stonki is an SEC Registered Investment Advisor. All investments involve risk, including the loss of principal. Options trading involves significant risk and is not suitable for all investors.